Germany is seeking ways to counter Putin and Trump’s plans to restart Nord Stream 2 and is preparing to invest billions in defense.

The German government is exploring options to prevent the relaunch of the Nord Stream 2 pipeline in the Baltic Sea, which was damaged in a 2022 explosion. Rumors of a deal between Trump and Putin regarding gas European gas supplies have been circulating for some time. The German Ministry of Economics states that independence from Russian gas is of strategic importance for the federal government in terms of security policy, and it will maintain this principle.

Meanwhile, the CDU/CSU bloc led by Friedrich Merz, who won the parliamentary elections in Germany, and the SPD party, which is currently negotiating the formation of a new government with the CDU/CSU, have agreed on a substantial loan package to finance defense and infrastructure. Merz is convinced that Europe and Germany must enhance their defense capabilities. Consequently, the parties decided to exempt all defense spending exceeding 1% of GDP from Germany’s debt restrictions. Additionally, there are plans to establish a special €500B infrastructure fund over 10 years and reform the country’s debt brake.